I found an awnser to this question but it is 10 months old, so the information to the question is outdated.
If say, for example you made money on music lessons for 15$ per lesson and you have 10-20 clients depending on the month. And each client has once a week lessons.
Let's see for example, you make $1000-1500/month. Would you pay Income Taxes? Or would you just file paperwork for the IRS to pay Social Security?
I can research this question on the official internal revenue service but it might take a few hours before I find my awnser.
But anyway if you can find the awnser before I do it would be nice.
2007-06-10 06:29:24 · 4 answers · asked by Bearkiller a 1 in Business & Finance ➔ Taxes ➔ United States
Under the circumstances you describe, you'd be running your own business giving the music lessons, so you would have to file a tax return if you made over $400 in the year. You would owe self-employment taxes (social security and medicare) of 15.3% of your net income after subtracting expenses for giving the lessons, in addition to whatever income taxes you owe. Income taxes would depend on your income, filing status, dependents if any, and deductions and credits, but on that amount of income, you'd most likely owe some income tax. Since you don't give details of your personal situation, and your income estimate is a pretty wide range, nobody can really give you an answer for sure.
This answer is for federal taxes. You would most likely also owe Utah state income taxes.
2007-06-11 10:59:09 · answer #1 · answered by Judy 7 · 0⤊ 1⤋
So your parents claimed you as a dependent. You should get back much/most of the withheld taxes due to your low income. Don't forget to do the state return too. You can do free efile at irs.gov. Print out federal form, go to your state's website and do the state there for free.
2016-05-21 08:28:32 · answer #2 · answered by Anonymous · 0⤊ 0⤋
If this is your only "job", if you make over $400, you are required to file a return. Self-employment taxes (social security and medicare) kick in at $400 but you wouldn't owe income taxes until you get to $8k or so.
If this in addtion to a regular job, as little as $50 profit would increase your income taxes.
Don't let taxes be the determining factor though. Make as much money as you can!!
2007-06-10 07:02:09 · answer #3 · answered by Wayne Z 7 · 0⤊ 2⤋
In Florida it's $600.00.
2007-06-10 06:37:01 · answer #4 · answered by kevrigger 5 · 0⤊ 3⤋